Hysan Development's (0014) recurring underlying profit for the first half of this year fell 12.2 percent yearly to HK$1 billion, but it maintained the first interim dividend this year at 27 HK cents.
The fall in profit, after excluding the property revaluation gain and the impact of one-off disposals a year ago, resulted from temporarily closed retail areas for rejuvenation and lower office rents.
But the net interim net profit jumped 168 percent year-on-year to HK$190 million, pushing its shares up by 1.25 percent to HK$17.78 apiece yesterday.
The biggest landlord in Causeway Bay saw its turnover from offices decline 7.5 percent yearly to HK$745 million in the first half of the year.
Chief financial officer and company secretary Roger Hao Shu-yan, said rents of new contracts posted a double-digit fall from the previous leases over the January-June period.
While mall rents at Hysan rose 67 percent compared with a year ago, the retail turnover dipped by 9.9 percent yearly to HK$762 million, as 11 percent of the retail area was closed for rejuvenation.
Ricky Lui Kon-wai, the executive director and chief operating officer, said the retail sales from tourists are still below pre-pandemic levels, but he expected consumption would keep growing in the second half if more visitors came to the city.
Ricky Lui, left, and Roger Hao.
